1. Field of the Invention
The present invention is directed to electronic bill presentment and payment (EBPP) and in particular, to an improved consolidated and flexible system for presentment and/or payment of bills electronically over a network.
2. Description of Related Art
Approximately one third of all Billers offer their customers electronic bill presentment (EBP). In the near future every Biller will want to offer their customers this feature in order to provide enhanced customer service, obtain greater customer loyalty, and reduce overall processing costs.
By 2002, it is predicted that approximately 26 million households in the United States will bank, invest or manage their finances on line with a great majority of such users receiving their bill presentment electronically. As the market for electronic EBP services grows Consumers see value in electronically consolidated and presented bill summaries at their on-line banking site, while Billers see advantages to the elimination of paper bills and the ability to reach many consumers through a single consolidated system.
Heretofore, many banks and other financial institutions have offered its customers a closed proprietary on-line banking system in which the financial institution presents and pays bills only through their institution. Thus, the Biller is required to transact all business through the financial institution.
Consumers have relationships with multiple Billers, only a few of which are likely to be wholesale customers of a given Consumer's financial institution. It is desirable to provide an electronic bill presentment and payment system by which Consumers can access and pay a greater number of bills thereby enhancing the financial institution's on-line banking service.
It is therefore desirable to provide a consolidated open, interoperable switching system for electronic presentment and payment of bills electronically between one or more Consumers and Billers.